The new year is a great time to review your finances and make sure everything is running smoothly.
From savings and pensions to tax and protection, the changes you make today could have a big impact on the health of your finances in 2024 and beyond.
Brewin Dolphin can carry out a thorough assessment of your personal and financial circumstances but, in the meantime, here are seven financial resolutions that could help you start the new year on a stronger footing.
The value of investments, and any income from them, can fall and you may get back less than you invested. This does not constitute tax or legal advice. Tax treatment depends on the individual circumstances of each client and may be subject to change in the future. Information is provided only as an example and is not a recommendation to pursue a particular strategy. Forecasts are not a reliable indicator of future performance.
Before deciding to invest, please consult an independent financial adviser to better understand the risks and if such an investment is right for you.
1. Assess your spending and saving habits
Steep price rises over the past year mean it’s more important than ever to have a solid budgeting plan in place. Sticking to a budget can help you avoid splashing out on things you don’t really need. You might even find you have more money to put towards your savings goals.
It’s generally considered wise to have around six months’ worth of essential expenditure in an easy-access savings account.
2. Revisit your financial goals
The new year is a good time to reconsider your financial goals – what you would like to achieve over the short, medium and long term. Your goals might have changed since you first created your financial plan, in which case you may need to adjust where you are saving your money.
Brewin Dolphin can explain whether you are on track to achieve your goals and, if not, the changes you might wish to consider making.
3. Check your pension is on track
If you haven’t checked the value of your pension pots recently, this is the time to do so. Understanding how much money you’ve saved up in pensions will help you work out whether you’re on track to achieve your retirement ambitions.
Brewin Dolphin can calculate the projected value of your pension at retirement and the amount of annual income this is likely to produce.
4. Make the most of your tax allowances
There are a whole host of other tax allowances and exemptions to make use of each year. Many people wait until the end of the tax year to maximise their allowances, but the sooner you act, the better your chances are of realising your financial goals.
5. Review your protection
Having the right protection is crucial to ensure you and your family’s finances hold up in the event of unexpected illness or death. Even if you already have protection, the new year is a good time to check it still reflects your circumstances.
6. Make or update your will
Making a will is one of the most important things you can do. It ensures your assets go to who you want after your death, and that your wishes are carried out as you intended. If you’ve already made a will, consider whether it needs updating.
7. Get some financial advice
Understanding where to invest, how much you need to save for retirement and what to do to secure your family’s financial future can be really difficult on your own – and that’s where getting some financial advice comes in.
To gain clarity over your future finances, book a consultation with one of Brewin Dolphin’s financial advisers today.
